November 9, 2006, Introduced by Senator GILBERT and referred to the Committee on Economic Development, Small Business and Regulatory Reform.
A bill to amend 1993 PA 92, entitled
"Seller disclosure act,"
by amending section 7 (MCL 565.957), as amended by 2005 PA 163.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 Sec. 7. (1) The disclosures required by this act shall be
2 made on the following form:
3 SELLER'S DISCLOSURE STATEMENT
4 Property Address: __________________________________________
5 Street
6 _________________________________ Michigan
7 City, Village, or Township
8 Purpose of Statement: This statement is a disclosure of the
9 condition of the property in compliance with the seller
1 disclosure act. This statement is a disclosure of the condition
2 and information concerning the property, known by the seller.
3 Unless otherwise advised, the seller does not possess any
4 expertise in construction, architecture, engineering, or any
5 other specific area related to the construction or condition of
6 the improvements on the property or the land. Also, unless
7 otherwise advised, the seller has not conducted any inspection of
8 generally inaccessible areas such as the foundation or roof. This
9 statement is not a warranty of any kind by the seller or by any
10 agent representing the seller in this transaction, and is not a
11 substitute for any inspections or warranties the buyer may wish
12 to obtain.
13 Seller's Disclosure: The seller discloses the following
14 information with the knowledge that even though this is not a
15 warranty, the seller specifically makes the following
16 representations based on the seller's knowledge at the signing of
17 this document. Upon receiving this statement from the seller, the
18 seller's agent is required to provide a copy to the buyer or the
19 agent of the buyer. The seller authorizes its agent(s) to provide
20 a copy of this statement to any prospective buyer in connection
21 with any actual or anticipated sale of property. The following
22 are representations made solely by the seller and are not the
23 representations of the seller's agent(s), if any. THIS
24 INFORMATION IS A DISCLOSURE ONLY AND IS NOT INTENDED TO BE A PART
25 OF ANY CONTRACT BETWEEN BUYER AND SELLER.
26 Instructions to the Seller: (1) Answer ALL questions. (2)
27 Report known conditions affecting the property. (3) Attach
1 additional pages with your signature if additional space is
2 required. (4) Complete this form yourself. (5) If some items do
3 not apply to your property, check NOT AVAILABLE. If you do not
4 know the facts, check UNKNOWN. FAILURE TO PROVIDE A PURCHASER
5 WITH A SIGNED DISCLOSURE STATEMENT WILL ENABLE A PURCHASER TO
6 TERMINATE AN OTHERWISE BINDING PURCHASE AGREEMENT.
7 Appliances/Systems/Services: The items below are in working order
8 (the items below are included in the sale of the property only if
9 the purchase agreement so provides):
10 Not
11 Yes No Unknown Available
12 Range/Oven ____ ____ ____ ____
13 Dishwasher ____ ____ ____ ____
14 Refrigerator ____ ____ ____ ____
15 Hood/fan ____ ____ ____ ____
16 Disposal ____ ____ ____ ____
17 TV antenna, TV rotor
18 & controls ____ ____ ____ ____
19 Electrical system ____ ____ ____ ____
20 Garage door opener &
21 remote control ____ ____ ____ ____
22 Alarm system ____ ____ ____ ____
23 Intercom ____ ____ ____ ____
24 Central vacuum ____ ____ ____ ____
25 Attic fan ____ ____ ____ ____
26 Pool heater, wall
27 liner & equipment ____ ____ ____ ____
1 Microwave ____ ____ ____ ____
2 Trash compactor ____ ____ ____ ____
3 Ceiling fan ____ ____ ____ ____
4 Sauna/hot tub ____ ____ ____ ____
5 Washer ____ ____ ____ ____
6 Dryer ____ ____ ____ ____
7 Lawn sprinkler system ____ ____ ____ ____
8 Water heater ____ ____ ____ ____
9 Plumbing system ____ ____ ____ ____
10 Water
11 softener/conditioner ____ ____ ____ ____
12 Well & pump ____ ____ ____ ____
13 Septic tank & drain
14 field ____ ____ ____ ____
15 Sump pump ____ ____ ____ ____
16 City Water System ____ ____ ____ ____
17 City Sewer System ____ ____ ____ ____
18 Central air
19 conditioning ____ ____ ____ ____
20 Central heating system ____ ____ ____ ____
21 Wall furnace ____ ____ ____ ____
22 Humidifier ____ ____ ____ ____
23 Electronic air filter ____ ____ ____ ____
24 Solar heating system ____ ____ ____ ____
25 Fireplace & chimney ____ ____ ____ ____
26 Wood burning system ____ ____ ____ ____
27 Explanations (attach additional sheets if necessary):
28 _______________________________________________________________
29 _______________________________________________________________
1 _______________________________________________________________
2 _______________________________________________________________
3 _______________________________________________________________
4 UNLESS OTHERWISE AGREED, ALL HOUSEHOLD APPLIANCES ARE SOLD IN
5 WORKING ORDER EXCEPT AS NOTED, WITHOUT WARRANTY BEYOND DATE OF
6 CLOSING.
7 Property conditions, improvements & additional information:
8 1. Basement/crawl space: Has there been evidence of water?
9 yes____ no____
10 If yes, please explain: _____________________________________
11 2. Insulation: Describe, if known ______________________________
12 Urea Formaldehyde Foam Insulation (UFFI) is installed?
13 unknown____ yes____ no____
14 3. Roof: Leaks? yes____ no____
15 Approximate age if known ____________________________________
16 4. Well: Type of well (depth/diameter, age, and repair history,
17 if known): __________________________________________________
18 Has the water been tested? yes____ no____
19 If yes, date of last report/results: ________________________
20 5. Septic tanks/drain fields: Condition, if known: _____________
21 _____________________________________________________________
22 6. Heating System: Type/approximate age: _______________________
23 7. Plumbing system: Type: copper___ galvanized___ other___
24 Any known problems? _________________________________________
25 8. Electrical system: Any known problems? ______________________
26 _____________________________________________________________
27 9. History of infestation, if any: (termites, carpenter ants,
28 etc.) _______________________________________________________
29 10. Environmental Problems: Are you aware of any substances,
1 materials, or products that may be an environmental hazard
2 such as, but not limited to, asbestos, radon gas,
3 formaldehyde, lead-based paint, fuel or chemical storage
4 tanks and contaminated soil on the property.
5 unknown___ yes___ no___
6 If yes, please explain: _____________________________________
7 _____________________________________________________________
8 11. Flood insurance: Do you have flood insurance on the
9 property? unknown ___yes ___no___
10 12. Mineral rights: Do you own the mineral rights?
11 unknown___ yes___ no___
12 Other Items: Are you aware of any of the following:
13 1. Features of the property shared in common with the adjoining
14 landowners, such as walls, fences, roads and driveways, or
15 other features whose use or responsibility for maintenance
16 may have an effect on the property?
17 unknown___ yes___ no___
18 2. Any encroachments, easements, zoning violations, or
19 nonconforming uses? unknown___ yes___ no___
20 3. Any "common areas" (facilities like pools, tennis courts,
21 walkways, or other areas co-owned with others), or a
22 homeowners' association that has any authority over the
23 property? unknown___ yes___ no___
24 4. Structural modifications, alterations, or repairs made
25 without necessary permits or licensed contractors?
26 unknown___ yes___ no___
27 5. Settling, flooding, drainage, structural, or grading
28 problems? unknown___ yes___ no___
29 6. Major damage to the property from fire, wind, floods, or
30 landslides? unknown___ yes___ no___
31 7. Any underground storage tanks? unknown___ yes___ no___
1 8. Farm or farm operation in the vicinity; or proximity
2 to a landfill, airport, shooting range, etc.?
3 unknown___ yes___ no___
4 9. Any outstanding utility assessments or fees, including
5 any natural gas main extension surcharge?
6 unknown___ yes___ no___
7 10. Any outstanding municipal assessments or fees?
8 unknown___ yes___ no___
9 11. Any pending litigation that could affect the property
10 or the seller's right to convey the property?
11 unknown___ yes___ no___
12 12. Was this residence built within the past 2 years by an owner
13 that was not a licensed residential builder or maintenance
14 and alteration contractor at the time the residence was built?
15 yes___ no___
16 13. If the answer to question 12 is yes, did the owner-builder
17 reside in this residence at least 120 days after the
18 issuance of the occupancy permit?
19 yes___ no___
20 If the answer to any of these questions is yes, please explain.
21 Attach additional sheets, if necessary:__________________________
22 _________________________________________________________________
23 _________________________________________________________________
24 _________________________________________________________________
25 _________________________________________________________________
26 The seller has lived in the residence on the property from
27 _________________ (date) to _________________ (date). The seller
28 has owned the property since ___________________ (date). The
29 seller has indicated above the condition of all the items based
1 on information known to the seller. If any changes occur in the
2 structural/mechanical/appliance systems of this property from the
3 date of this form to the date of closing, seller will immediately
4 disclose the changes to buyer. In no event shall the parties hold
5 the broker liable for any representations not directly made by the
6 broker or broker's agent.
7 Seller certifies that the information in this statement is true
8 and correct to the best of seller's knowledge as of the date of
9 seller's signature.
10 BUYER SHOULD OBTAIN PROFESSIONAL ADVICE AND INSPECTIONS
11 OF THE PROPERTY TO MORE FULLY DETERMINE THE CONDITION
12 OF THE PROPERTY. THESE INSPECTIONS SHOULD TAKE INDOOR
13 AIR AND WATER QUALITY INTO ACCOUNT, AS WELL AS ANY
14 EVIDENCE OF UNUSUALLY HIGH LEVELS OF POTENTIAL ALLERGENS
15 INCLUDING, BUT NOT LIMITED TO, HOUSEHOLD MOLD, MILDEW AND
16 BACTERIA.
17 BUYERS ARE ADVISED THAT CERTAIN INFORMATION COMPILED
18 PURSUANT TO THE SEX OFFENDERS REGISTRATION ACT,
19 1994 PA 295, MCL 28.721 TO 28.732, IS AVAILABLE TO
20 THE PUBLIC. BUYERS SEEKING THAT INFORMATION SHOULD
21 CONTACT THE APPROPRIATE LOCAL LAW ENFORCEMENT AGENCY
22 OR SHERIFF'S DEPARTMENT DIRECTLY.
23 BUYER IS ADVISED THAT THE STATE EQUALIZED VALUE OF THE
24 PROPERTY, PRINCIPAL RESIDENCE EXEMPTION INFORMATION,
25 AND OTHER REAL PROPERTY TAX INFORMATION IS AVAILABLE
26 FROM THE APPROPRIATE LOCAL ASSESSOR'S OFFICE.
27 BUYER SHOULD NOT ASSUME THAT BUYER'S FUTURE TAX BILLS ON
28 THE PROPERTY WILL BE THE SAME AS THE SELLER'S PRESENT TAX
29 BILLS. UNDER MICHIGAN LAW, REAL PROPERTY TAX OBLIGATIONS
1 CAN CHANGE SIGNIFICANTLY WHEN PROPERTY IS TRANSFERRED.
2 Seller____________________ Date_______________________
3 Seller____________________ Date_______________________
4 Buyer has read and acknowledges receipt of this statement.
5 Buyer_______________ Date________________ Time:_______________
6 Buyer_______________ Date________________ Time:_______________
7 (2) A form described in subsection (1) printed before
8 January 1, 2006 that was in compliance with this section at that
9 time may be utilized and shall be considered in compliance with
10 this section until April 1, 2006.
11 Enacting section 1. This amendatory act does not take effect
12 unless Senate Bill No. 1488
13 of the 93rd Legislature is enacted into law.